EUR/USD Rallies Higher on Positive Eurozone PMI Data and Weak Greenback

The EUR/USD currency pair today rallied higher to hit a 2-day high during the North American session boosted by positive GDP and Markit PMI data from the Eurozone. The currency pair was also affected by the uncertainty surrounding the passing of Donald Trump‘s healthcare bill by the House, which weakened the greenback.

The currency pair gained over 50 points at the height of its rally to hit a 2-day high of 1.0814, which could lead to the pair closing the week with a gain for a record consecutive 4-week gain stretch.

The currency pair’s rally was triggered by the release of positive PMI data from France, Germany, and the Eurozone, which met and exceeded expectations. The Markit Germany Services PMI was recorded at 55.6 versus the expected 54.5. The Markit Eurozone Manufacturing PMI came in at 56.2 as compared to the expected 55.3. The Markit PMI data from the Eurozone was reported at 56.7 as opposed to the expected 55.8.

The currency pair was also affected by the mostly negative Markit PMI data for the US, which weakened the US dollar. The greenback was also weakened by the uncertainty among Republican politicians on whether the GOP has the votes needed to repeal Obamacare.

The currency pair is likely to be affected by the retail sales figures and the German IFO expectations, both scheduled for release on Monday.

The EUR/USD was trading at 1.0804 as at 18:00 GMT having rallied from a low of 1.0759 prior to the Markit PMI release. The EUR/GBP was trading at 0.8647 having opened the day’s session trading at 0.8614.

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